Arran McLellan : Pemberton Holmes : Archived blog posts for : September 2017

BC Government Limits Choices for Real Estate Consumers

Posted on September 13, 2017 by Arran McLellan

BC Government Limits Choices for Real Estate Consumers

Vancouver, BC – September 7, 2017. The BC Government's announcement to ban the practice of limited dual agency means that consumers can no longer choose the REALTORS® they want.

"Every day, REALTORS® help their clients understand real estate transactions, so they can make informed decisions," said BC Real Estate Association (BCREA) President Jim Stewart."Over my nearly 25-year career as a REALTOR®, many long-standing clients have developed trust with me, and now my clients have no choice but to start from the beginning and build new relationships. Trust is a crucial part of what is often the largest financial transaction in people's lives."

Limited dual agency occurs when a real estate trading services licensee acts in a limited capacity for both the buyer and the seller. The practice is especially common and important in small BC communities, in which few licensees practice, and so BCREA is pleased to see a proposed exemption for those situations. However, limited dual agency is also used in cases where REALTORS® have established relationships with buyers and sellers, in commercial transactions and in situations where REALTORS® specialize in particular property types.

"Rather than working with licensees they don't know, we're concerned people may decide to complete real estate transactions without representation," said BCREA CEO Robert Laing."That goes against the consumer protection mandate of the Superintendent of Real Estate and the Real Estate Council of BC."

At the end of June 2016, the Independent Advisory Group (IAG) made 28 recommendations aimed at improving the real estate licensing system and the protection of consumers. For more than a year, BCREA has urged the BC Government, Superintendent of Real Estate and Real Estate Council of BC to carefully examine the IAG recommendation to eliminate limited dual agency. The vast majority of BC's more than 22,000 licensees are diligent, ethical and trustworthy, and so BCREA has recommended that limited dual agency should be allowed through the express consent of consumers.

"We know consumers value the right to choose their own representatives," said Mr. Laing. "Over the next few days, BCREA will examine the draft rule changes carefully and consult with the 11 real estate boards to determine our next steps."

- 30 -

Quick facts:

In response to a July 2017 survey:

67% of BC real estate consumers said it's very important or somewhat important that they be able to work with the REALTOR® of their choice,
More than four-in-five BC homeowners (84%) used the services of a REALTOR® for their last property transaction.
88% of BC homeowners who worked with a REALTOR® say they are very or somewhat satisfied with their services.

BCREA is the professional association for over 22,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province's real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

To demonstrate the profession's commitment to improving Quality of Lifein BC communities, BCREA supports policies that help ensure economic vitality, provide housing opportunities, preserve the environment, protect property owners and build better communities with good schools and safe neighbourhoods.

For more information, please contact:

Damian Stathonikos

Director of Communications and Public Affairs

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Canadian Housing Starts - September 11, 2017

Posted on September 11, 2017 by Arran McLellan

BCREA ECONOMICS NOW

Canadian Housing Starts - September 11, 2017

Canadian housing starts increased 1 per cent in August to 223,232 units at a seasonally adjusted annual rate (SAAR). The six-month trend in Canadian housing starts was also higher at 219,447 units SAAR.

New home construction in BC fell 21 per cent on a monthly basis to a still robust 35,773 units SAAR but were up 4 per cent on a year-over-year basis. Single detached starts fell 7 per cent month-over-month and were 3 per cent lower year-over-year. Multiple unit starts declined 26 per cent on a monthly basis but were up 7 per cent year-over-year.

Looking at census metropolitan areas (CMA) in BC:

Total starts in the Vancouver CMA fell 13 per cent year-over-year in August. Both single and multiple unit starts declined, falling by 2 and 16 per cent respectively on a year-over-year basis.

In the Victoria CMA market, housing starts followed up a surge in new units in July with a further 22 per cent year-over-year increase in August. Multiple unit starts were once again the main source of growth, rising 46 per cent year-over-year.
New home construction in the Kelowna CMA more than doubled compared to August 2016 due to a number of multiple unit projects breaking ground. Many of those units are new rental units, which year to date have totaled 1,366 starts. That is the highest 8 month total for construction of rental units in Kelowna's history.
Housing starts in the Abbotsford-Mission CMA continued a torrid pace of growth in August, rising 93 per cent year-over-year, boosted by strong growth in both single and multiple unit starts.

For more information, please contact:

Cameron Muir

Brendon Ogmundson

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Bank of Canada Interest Rate Announcement - Sept 6, 2017

Posted on September 8, 2017 by Arran McLellan

September 6, 2017 - Bank of Canada Interest Rate Announcement

Overnight Leading Rate

The Bank of Canada announced this morning that it is raising its target for the overnight rate by 25 basis points to 1 per cent. In the press release accompanying the decision, the Bank noted that recent economic data have been stronger than expected but growth is forecast to moderate in the second half of the year. On inflation, the Bank cited some excess capacity and temporary price shocks as factors keeping inflation below its 2 per cent target. Importantly, the Bank mentioned it will be paying particular attention to the evolution of the economy's potential growth rate (meaning the economy's estimated long-run growth rate) as well as to labour market conditions and the economy's sensitivity to higher interest rates.

The Bank has now removed the stimulus it injected into the Canadian economy in 2015 to offset the impact of falling oil prices. With the economy expanding at a 3.5 per cent rate over the past year, that stimulus is clearly no longer required. The Bank seems to be more concerned about the potential for higher future inflation due to an over-heated economy than on the actual very low inflation observed in recent months. That leaves the door open for further rate increases should economic growth remain robust.

How to Benefit from the Hot Property Market

The Housing Market in Victoria has been extremely hot for the past eighteen months with both Sellers and Buyers reaping the rewards. The current inventory is lower than average and coupled with low interest rates, the current housing market will continue to remain hot.

If you are planning to sell or buy within the next three months, give me a call and I will ensure you realize the best result possible.

My Best,

Arran

Click to view my website and listings

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BC Government Limits Choices for Real Estate Consumers

Posted on September 8, 2017 by Arran McLellan

BC Government Limits Choices for Real Estate Consumers

Vancouver, BC – September 7, 2017. The BC Government's announcement to ban the practice of limited dual agency means that consumers can no longer choose the REALTORS® they want.

"Every day, REALTORS® help their clients understand real estate transactions, so they can make informed decisions," said BC Real Estate Association (BCREA) President Jim Stewart."Over my nearly 25-year career as a REALTOR®, many long-standing clients have developed trust with me, and now my clients have no choice but to start from the beginning and build new relationships. Trust is a crucial part of what is often the largest financial transaction in people's lives."

Limited dual agency occurs when a real estate trading services licensee acts in a limited capacity for both the buyer and the seller. The practice is especially common and important in small BC communities, in which few licensees practice, and so BCREA is pleased to see a proposed exemption for those situations. However, limited dual agency is also used in cases where REALTORS® have established relationships with buyers and sellers, in commercial transactions and in situations where REALTORS® specialize in particular property types.

"Rather than working with licensees they don't know, we're concerned people may decide to complete real estate transactions without representation," said BCREA CEO Robert Laing."That goes against the consumer protection mandate of the Superintendent of Real Estate and the Real Estate Council of BC."

At the end of June 2016, the Independent Advisory Group (IAG) made 28 recommendations aimed at improving the real estate licensing system and the protection of consumers. For more than a year, BCREA has urged the BC Government, Superintendent of Real Estate and Real Estate Council of BC to carefully examine the IAG recommendation to eliminate limited dual agency. The vast majority of BC's more than 22,000 licensees are diligent, ethical and trustworthy, and so BCREA has recommended that limited dual agency should be allowed through the express consent of consumers.

"We know consumers value the right to choose their own representatives," said Mr. Laing. "Over the next few days, BCREA will examine the draft rule changes carefully and consult with the 11 real estate boards to determine our next steps."

- 30 -

Quick facts:

In response to a July 2017 survey:

67% of BC real estate consumers said it's very important or somewhat important that they be able to work with the REALTOR® of their choice,
More than four-in-five BC homeowners (84%) used the services of a REALTOR® for their last property transaction.
88% of BC homeowners who worked with a REALTOR® say they are very or somewhat satisfied with their services.

BCREA is the professional association for over 22,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province's real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

To demonstrate the profession's commitment to improving Quality of Lifein BC communities, BCREA supports policies that help ensure economic vitality, provide housing opportunities, preserve the environment, protect property owners and build better communities with good schools and safe neighbourhoods.

For more information, please contact:

Damian Stathonikos

Read